Overview: West Germany, a major economic power and a leading exporter, has a highly urbanized and skilled population that enjoys excellent living standards and comprehensive social welfare benefits. The FRG is poor in natural resources, coal being the most important mineral. The FRG's comparative advantage lies in the technologically advanced production stages. Thus manufacturing and services dominate economic activity, and raw materials and semimanufactures constitute a large proportion of imports. In 1988 manufacturing accounted for 35% of GDP, with other sectors contributing lesser amounts. The major economic problem in 1989 is persistent unemployment of over 8%. The FRG is well poised to take advantage of the increasing economic integration of the European Community. The dramatic opening of the boundary with East Germany in late 1989 poses new economic challenges that could tax even this powerful economy.

GDP: $945.7 billion, per capita $15,300; real growth rate 4.3% (1989 est.)

Inflation rate (consumer prices): 3.0% (1989)

Unemployment rate: 8.4% (1989)

Budget: revenues $539 billion; expenditures $563 billion, including capital expenditures of $11.5 billion (1988)

Exports: $323.4 billion (f.o.b., 1988); commodities--manufactures 86.6% (including machines and machine tools, chemicals, motor vehicles, iron and steel products), agricultural products 4.9%, raw materials 2.3%, fuels 1.3%; partners--EC 52.7% (France 12%, Netherlands 9%, Italy 9%, UK 9%, Belgium-Luxembourg 7%), other West Europe 18%, US 10%, Eastern Europe 4%, OPEC 3% (1987)

Imports: $250.6 billion (f.o.b., 1988); commodities--manufactures 68.5%, agricultural products 12.0%, fuels 9.7%, raw materials 7.1%; partners--EC 52.7% (France 12%, Netherlands 11%, Italy 10%, UK 7%, Belgium-Luxembourg 7%), other West Europe 15%, US 6%, Japan 6%, Eastern Europe 5%, OPEC 3% (1987)

External debt: $500 million (June 1988)

Industrial production: growth rate 3.3% (1988)

Electricity: (including West Berlin) 110,075,000 kW capacity; 452,390 million kWh produced, 7,420 kWh per capita (1989)

Industries: among world's largest producers of iron, steel, coal, cement, chemicals, machinery, ships, vehicles, and machine tools; electronics, food and beverages

Agriculture: accounts for about 2% of GDP (including fishing and forestry); diversified crop and livestock farming; principal crops and livestock include potatoes, wheat, barley, sugar beets, fruit, cabbage, cattle, pigs, poultry; net importer of food; fish catch of 202,000 metric tons in 1987

Aid: donor--ODA and OOF commitments (1970-87), $60.0 billion

Currency: deutsche mark (plural--marks); 1 deutsche mark (DM) = 100 pfennige

Exchange rates: deutsche marks (DM) per US$1--1.6918 (January 1990), 1.8800 (1989), 1.7562 (1988), 1.7974 (1987), 2.1715 (1986), 2.9440 (1985)

Fiscal year: calendar year

NOTE: The information regarding Germany, Federal Republic of on this page is re-published from the 1990 World Fact Book of the United States Central Intelligence Agency. No claims are made regarding the accuracy of Germany, Federal Republic of Economy 1990 information contained here. All suggestions for corrections of any errors about Germany, Federal Republic of Economy 1990 should be addressed to the CIA.